Jobstreet is at its uptrend line

Jobstreet is involved in the provision of interactive recruitment services. Besides Malaysia, it operates in Singapore, the Philippines, India, Bangladesh, Indonesia and Vietnam. Some of these overseas' associates/subsidiaries (such as in Indonesia, India & Bangladesh) have just commenced their operations this year & they are not expected be profitable for 1 or 2 years.

The latest quarterly result for QE30/9/2006 shows a net profit of RM4.8 mil representing an increase of 11.2% over the previous year's same quarter's net profit of RM4.3 mil. This was achieved on a turnover of RM16.8 mil, representing an increase of 11.4% over the previous year's same quarter's turnover of RM15.1 mil. However, Jobstreet's financial performance has deteriorated when compared with the preceding quarter's result, with net profit declined by 1.5% resulting from a 3.5%-drop in turnover (see the table below).



Jobstreet has dropped back from its high of RM2.07 recorded in last April. The share is presently testing its uptrend line support at RM1.75 level. The share price may also find support at the strong horizontal of RM1.70 (see the chart below).

Being one of the leading Internet Recruitment websites in the Asia-Pacific, Jobstreet is a company with great potential. Based on decent financial performance & nice technical set-up, I believe Jobstreet would make a good long-term investment.